Report on Contemporary Issues, Trends, and Strategies for Titan Travel

This report provides a comprehensive analysis of contemporary issues, current trends, and strategic responses within the travel and tourism sector, using Titan Travel as a case study. It explores the impact of technological advancements, security concerns, and emerging markets, along with the application of PEST analysis to understand political, economic, social, and technological factors influencing the industry. The report delves into inbound and outbound tourism trends, niche markets like adventure and agro tourism, and the strategies employed by companies such as British Airways and Iberia to adapt to changes. It examines the consequences of failing to respond to industry shifts and emphasizes the importance of proactive measures to ensure business sustainability and growth. The report also analyzes various factors like local and international laws, terrorism, and counter-terrorism measures that affect the tourism sector.

Contemporary Issues in Travel
and Tourism

TABLE OF CONTENTS
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
1.1 Issues bringing change in travel and tourism sector.........................................................1
1.2 Analysing current issues using methods...........................................................................2
TASK 2............................................................................................................................................3
2.1 Current trends influencing change in travel and tour sector.............................................3
2.2 Analysing current trends using correct techniques...........................................................5
TASK 3............................................................................................................................................5
3.1 Response of travel and tourism sector towards change....................................................5
3.2 Developing strategies for responding towards change in travel business........................6
3.3 Justification of strategies used for responding to change ................................................7
TASK 4............................................................................................................................................8
4.1 Impacts of issues and trends that bring change in Travel and Tourism sector.................8
4.2 Consequences of business that fail to respond to changes...............................................8
CONCLUSION................................................................................................................................9
REFERENCES................................................................................................................................1

INTRODUCTION
Changes are considered as part of every business and if changes are positive then if can
help in growing company as well. Tourism industry is considered as an important industry in
today's world. . Now,tourism industry have become really competitive as new companies have
opened in this sector and country's economy is also increasing. This is also an important reason
why it has become more competitive and challenging (Contemporary issues in travel and
tourism, 2016). The company which is referred here is Titan Travel which is a British Travel
company . It is known for providing the best quality hotels and other luxuries that are demanded
by customers. This report will include details about issues that are responsible for bringing
change in tourism sector and its analysis using different methods. It will also state about current
trends that are influencing change and strategies that will be developed to make business respond
to travelling sector and its impacts on tourism industry will be included.
TASK 1
1.1 Issues bringing change in travel and tourism sector
There are several issues that are responsible for bringing changes in this sector. These
issues also varies from one place to another. These issues arise because of various people like
Government, customers, other travel agencies etc. Sometimes situations also arise like foe ex
(Baker, 2014). 9/11 attacks on London which persuade companies to make changes in their
policies and plans. Therefore every company has to identify these problems and work on it. Titan
Travel have to analyse all these issues that are responsible for changes. The current issues that
are responsible for changes are:-
1. Technological Advancements: - It is one of the major issues that have brought changes in
travel and tourism industry. In today's world, social media and various search engines are
helping people to explore world's best destinations and plan for their vacations and also
can contact the prospective travel agencies also. It also helps in providing virtual tour to
its customers. This is very helpful for tour operators and hotel industry (Carlisle and et.
al., 2013). So, technological advancements is very helpful in bringing change in travel
industry.
2. Need for increased security: - As tourism industry is growing day by day, improving
security has become a challenge in front of government of respective country and travel
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and tourism sector. Since, number of tourists are increasing regularly so, security
provided to them should be improved because it is country's duty to protect their people.
Various international tourists also visit our country so fear of terrorist is also there. So
social security should be increased and strict checking should be done on airports so that
no one could enter our country with wrong means.
3. Emergence of new markets: - Markets are also expanding day by day. Many customers
are approaching new travel agencies to discuss their travel plans. So companies should be
ready to fulfil their needs and demands (Cohen and et. al., 2014). It is possible that
companies are not ready to face this situation because of unavailability of resources and
other issues. So, Titan travels should be ready to face all types of issues that may come
on their way.
1.2 Analysing current issues using methods
Tourism and travel industry is considered as one of the most dynamic industry in world
and is also influenced by various sectors. These issues differ from destination to destination. UK
is considered as 8th biggest tourist destination kin world with more than 36.115 million people
visiting in 2015. Still, country is facing such issues. The unstable political conditions have
created issues and also increasing fear of terrorism also effects the economy which creates
issues. Therefore by using appropriate methods, these issues can be identified on time and
corrective actions might be taken. This is very important for companies for their growth and
security.
The issues that re recognised by Titan Travels are – emergence of new markets,
advancements in technology, state of economy, rise and fall in inflation etc. therefore,
management has to frame its strategies so that they can analyse these issues and try to know the
problem. Titan travel should check that in which segment they are losing control and should try
to correct it (Desbordes and Richelieu, 2012). Their management should try to make their
customers aware that they are working for their benefit only and they will try that customer
shouldn't face any issue from their behalf. Therefore, various factors that will be analysed are:-
Local and International Laws
Various types of taxes are levied on travellers which effects growth in tourism sector.
Because of these taxes, cost of travelling is also increased which effects the no. of visitors
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coming to visit this location. These laws act as a barrier also but it is made for country's safety
only so that no one could enter with bad intentions in country.
Terrorism and Counter Terrorism measure
Threat to UK regarding terrorist attack is quiet high. So, government has taken various
measures to bring situation in control because it is one major reason because of which Tourism
industry is affected and bringing changes in them. Customers who are coming from various
destination to UK or going from UK will have to undergo various security inspections and the
people are required to follow these rules (Dickinson and et. al., 2014).
TASK 2
2.1 Current trends influencing change in travel and tour sector
It is very important to know reason because of which changes are coming in this sectors.
The key trends can be classified as:-
In Bound Tourism- In this, it is discussed that how many people have visited UK and are
happy with the services provided to them.
Overview of UK visitors in
2016
Statistics Change from last year
No. of visits 37.61 m 4.14%
Total Expenditure 22.54 bn 2.14%
Total nights spent 277.9 m 1.55%
Average length of stay 7.37 -2.52%
Average spend per visit 599 -1.99%
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Outbound Tourism- It specifies the percentage of people who leave UK to visit other
countries. Its data is prepared as per expenditure that people do for leaving the country. UK is
declining in this segment because no. of people whom are leaving UK tom travel are decreasing
day by day.
Tourism depends majorly on choice of customers also because of visitor wants to visit a
particular place then it will be for some purpose only. Types of niche markets in tourism industry
is as follows:-
Adventure Tourism
This is a segment which is selected by only those visitors who like adventures in their
life. So whenever a visitor comes to visit a travel agency firstly needs and likes of customers
should be known and then accordingly holiday packages should be given.
Agro Tourism
There are several people who like visiting old places and have interest in history or rural
life (Hall and Page, 2014). So it is required that travel companies should have plans related to
these segments also along with travel guide which will help visitor to understand place more
nicely.
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Illustration 1: Decrease in Outbound Tourism
(Source: - Decrease in Outbound Tourism, 2017)

There are more segments like sports , dark , green and grey tourism, etc. which are made
as per the demands of customers and their preferences. Tourism sector that are developing are
Adventure tourism and sports tourism because people love to experience adventure especially
young generation and so more and more reservations come for this segment and other one is
sports tourism because there are many destinations that are good for organising sports activities
so it is preferred more.
2.2 Analysing current trends using correct techniques
Covered in Poster
TASK 3
3.1 Response of travel and tourism sector towards change
In order to analyse how travel and tourism could respond towards change, company will
have to perform PEST analysis where all the important areas will be covered that effects this
segment. International Airline group has to perform PEST analysis to show the changes that are
happening with them. PEST analysis is as follows:-
1. Political Environment: - There are various companies that are expanded in various
countries but situation is different with each country and it has to be analysed. Every
company has different Govt (Hall, 2013). So, different rules will also be implied on them.
Therefore off govt. is then rules will also change and companies will also have to renew
their plans and prices.
2. Economic Environment: - if there is any fluctuation or any plan is there to fluctuate
exchange rate then it must be properly determined by company's management to its staff.
Also, before starting business in any country, its currency rate should be determined son
that if currency rate is good then company will not have to take more steps to increase
profit but if its low then some actions will be taken by company.
3. Social Environment: - Company should know that what are the likings and dislikes of
their customers and should serve them according to their likes and preferences. This is
very important step because it helps company in knowing their customers more and it
further helps in increasing profits and trust of customers (Ladkin, 2011). So this user
based change impacted this sector very much.
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4. Technological Environment: - Technology is changing rapidly in this economy and its
impact is seen on every industry. People who have planned to travel on a specific date or
month then they should get their tickets booked in advance only. Nowadays there are pre-
bookings done for at least 6 months before travel (Wachowiak, 2016). Thus technology
has helped a lot in planning a holiday.
Therefore International Airline Group will have to respond to these changes in an
appropriate manner. Management has to give resources to company so that they are able to
accept these changes. By conducting PEST analysis, company will at least know about the
positive changes that it will face by accepting these changes.
3.2 Developing strategies for responding towards change in travel business
There are various businesses which help travel and tourism sector to sustain in economy.
These businesses are like Hotel industry, food industry, Airline industry etc. If these industries
are running well then it will indirectly increase the travel and tourism industry as well. There are
various types of activities that companies need to perform, they also have to fulfil their long term
and short term objectives and to achieve this companies have to go accept these changes.
International Airline Group is one of the largest airline group having more than 500
aircraft with them flying over 250 destinations (Marson, 2011). Other airline businesses that are
profitable in this segment is British Airways, Iberia, Vueling and Aer Lingus. For coping up with
changes British Airways and Iberia have to remake their strategies. The steps are as follows:-
British Airways
This is one of the top most airline company in world. It leads in market by providing
services as per customer's preferences. With the change in market situation, company will have
to bring changes in them by introducing new policies, new technologies, new services etc. They
should also check time to time that whether company is working in correct direction or not and
for this their objectives and mission vision will be checked. After implementing changes
company should try to catch more and more customers so that their business is not effected and
they will be able to expand in market. So, basically British Airways has to understand tbheir
customers well and provide services as per their choices.
Iberia
This is another Airline group which is spread around a vast network flying to over 109
destinations in 39 countries. They also need to remake their strategies in order work in a dynamic
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environment (Morgan and et. al., 201). IAG company provides services to airline industry like
helping in repair and maintenance of aircraft etc. So company should make use of 4P's to know
how will changes impact them. In this way company will be able to put prices accordingly. .
They will also have to introduce new products or services in market so that customers are
attracted towards them.
3.3 Justification of strategies used for responding to change
There are various strategies that International Airline group is using to deal with changes
that are happening in this economy. All these strategies are used by them to retrain thyeir
existing customers and make new customers as well. Strategies are planning only that companies
do to achieve their objectives (Moutinho, 2011). So these strategies helps company in achieving
attaining all these objectives and coping up with changes that are happening in economy.
Strategies that are made for British Airways and Iberia are justified as:-1. British Airways- By implementing these strategies, company will be able to create more
and more services to reach their customers and so they have to prepare their mission and
vision according to these changes only. The Pest analysis which is being conducted by
company helps them in knowing the situation of external market and so management
should make their plans as per that only. When customers will be served as per their
choices and preferences then they will feel satisfied and would want to visit again.
2. Iberia- The strategies that are implemented by this airline company will help in
providing more options to the customers. They are using marketing mix elements to
adjust in changes that are prevailing in environment. So, by using these they will be able
to used grab more market share which will benefit them only.
So, these are the justification that is provided for developing strategies to help in
accepting change that happened in travel and tourism department. By using these techniques
company can developing in changing environment as well.
TASK 4
4.1 Impacts of issues and trends that bring change in Travel and Tourism sector
There are various issues that impact travel and tourism industry. Myla travel is a travel
agency which is a UK based firm having 10 offices over there. It is a successful company serving
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their clients effectively (Pomering and et. al., 2011). They have grown really fast and that is why
many other businesses are attracted towards it.
There are various changes because of which travel and tourism business is affected are:- Employment level- As per the given case, both companies are provided with their own
pattern of working which the staff have to follow and if any kind of changes are
introduced by manager then its impact will come on both the firms. Technology- The firm Myla is provided efficient services to its customers. They are
trying to provide all kinds of luxuries to its customers so that they are retained with them
(Pritchard and et. al., 2011). In this way they are improving their quality and give best
experience tom its customers.
 Impact on products and services- By providing variety of products, company is trying to
keep their clients in their space only. Customers are always attracted towards that side
where they get an option to choose.
Except this, other options that Myla have to expand its business are:-
1. Merger- it is a situation where two compands having same structure combine with each
other and become one (Smith, 2014). This is beneficial to customers as they will be
getting services better now.
2. Acquisition- In this, one company having large market share takes over another company
by purchasing all of its shares. The company which is sold is no longer present in market.
4.2 Consequences of business that fail to respond to changes
The above mentioned trends and issues that are applied by companies to deal with
problems should be taken very seriously because it will only help companies in attaining their
objectives and maintaining sustainability. Another impact is that profitability will also be
effected by these trends i.e. if company is not handling its technological advancements properly
then customers will get effected by it and service quality will also get hampered (Sharpley and
Telfer, 2014). Every organisation is trying to do their work by using eco-friendly ways. The
consequences that companies will face if they will fail to respond to changes are;-1. Customer base- in today's world, preference of people are changing quickly so believing
that they will be loyal to a particular company will not be true. This s because whichever
company will provide good offers and good quality products to customer they will go that
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way only. So coping up with changes is very important so that company is able to retain
their customers.2. Business- if they fail to respond to changes in business environment then company will
face many problems in expanding their business in different countries. It will also hamper
its profitability.3. Mismanagement- It should be taken care that all the activities are done properly by
company and in time (Stone, 2012). When these functions are not performed well then it
is possible that companies are not able to adapt the changes.
4. Decline in income- If company's income is declining then it can affect the brand image of
company in market. Also, values of goods and services will go down so they will not be
able to take benefits from competitors.
CONCLUSION
It can be concluded from above report that travel and tourism industry has very high
potential to grow. Tourism industry is one of the sectors which is affected by political, economic
and various other types of environment. In this report, issues that are responsible for bringing
changes in travel and tourism sector are discussed which include rise in inflation and deflation in
economy and emergence of new markets as well. It is also shown that by analysing current
trends, company is able to deal with new facts in the market. On the basis of statistical data
discussed in this report , it can be concluded that more people are visiting to UK for adventure
and sports tourism. So if proper strategies will be implemented by company then they will be
able to deal with every kind of problem . So, contemporary issues will be dealt easily.
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REFERENCES
Books and Journals
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Journal of Religious Tourism and Pilgrimage. 2(1). p.9.
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stakeholder approaches: Experiences from Africa. Tourism Management. 35. pp.59-69.
Cohen, S. A. and et. al., 2014. Understanding and governing sustainable tourism mobility:
Psychological and behavioural approaches (Vol. 43). Routledge.
Desbordes, M. and Richelieu, A. eds., 2012. Global sport marketing: Contemporary issues and
practice. Routledge.
Dickinson, J. E. and et. al., 2014. Tourism and the smartphone app: Capabilities, emerging
practice and scope in the travel domain. Current Issues in Tourism. 17(1). pp.84-101.
Hall, C. M. and Page, S. J., 2014. The geography of tourism and recreation: Environment, place
and space. Routledge.
Hall, C. M., 2013. Wine, food, and tourism marketing. Routledge.
Ladkin, A., 2011. Exploring tourism labor. Annals of Tourism Research. 38(3). pp.1135-1155.
Marson, D., 2011. From mass tourism to niche tourism. Research themes for tourism, pp.1-11.
Morgan, N., Pritchard, A. and Pride, R., 2011. Destination brands: Managing place reputation.
Routledge.
Moutinho, L. ed., 2011. Strategic management in tourism. Cabi.
Pomering, A., Noble, G. and Johnson, L. W., 2011. Conceptualising a contemporary marketing
mix for sustainable tourism. Journal of Sustainable Tourism. 19(8). pp.953-969.
Pritchard, A., Morgan, N. and Ateljevic, I., 2011. Hopeful tourism: A new transformative
perspective. Annals of Tourism Research. 38(3). pp.941-963.
Sharpley, R. and Telfer, D. J. Eds., 2014. Tourism and development: concepts and issues (Vol.
63). Channel View Publications.
Smith, S. L., 2014. Tourism analysis: A handbook. Routledge.
Stone, P. R., 2012. Dark tourism and significant other death: Towards a model of mortality
mediation. Annals of tourism research. 39(3). pp.1565-1587.
Wachowiak, H. ed., 2016. Tourism and borders: contemporary issues, policies and international
research. Routledge.
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